© 2003 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Identifying the Target Audience Specifying Advertising Objectives Setting the Advertising Budget DEVELOPING THE ADVERTISING PR
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Instructor: Armand Gervais
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ADVERTISING, SALES PROMOTION,
AND PUBLIC RELATIONS
19
19C HAPTER
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Explain the differences between product
advertising and institutional advertising and the variations within each type.
Understand the steps used to develop,
execute, and evaluate an advertising program.
AFTER READING THIS CHAPTER
YOU SHOULD BE ABLE TO:
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Explain the advantages and dis-advantages of alternative advertising media.
Understand the strengths and weaknesses of consumer-oriented and trade-oriented sales promotions.
AFTER READING THIS CHAPTER
YOU SHOULD BE ABLE TO:
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Recognize public relations as an important form of communications.
AFTER READING THIS CHAPTER
YOU SHOULD BE ABLE TO:
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Coca-Cola Soccer Photo
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WHAT’S THE FUTURE OF ADVERTISING? THE
ANSWER IS PERSONAL!
Contextual marketing??
ADVERTISING, SALES PROMOTION, AND PUBLIC
RELATIONS
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Product Advertisements
Institutional Advertisements
TYPES OF ADVERTISEMENTS
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Jeep Ad
Pioneering,
competitive, or
reminder?
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Xerox Ad
Pioneering,
competitive, or
reminder?
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FTD Ad
Pioneering,
competitive, or
reminder?
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Got Milk? Ad
Competitive institutional
advertisement
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Mac-Gray
Print Ad
Pioneering institutional
advertisement
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Tobacco is
Whacko Ad
Advocacy advertisement
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Concept Check
1 What is the difference between
pioneering and competitive ads?
A: Pioneering ads tell people what a
product is, whereas competitive ads
promote a specific brand’s features and benefits.
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Identifying the Target Audience
Specifying Advertising Objectives
Setting the Advertising Budget
DEVELOPING THE ADVERTISING PROGRAM
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FIGURE 19-1 Super Bowl, super dollars Pepsi and Monster.com place ads on the Super Bowl
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Designing the Advertisement
DEVELOPING THE ADVERTISING PROGRAM
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Penn Ad:
Official Ball of
1988 French
Open
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Pepsi TV Ad: “Britney Now & Then”
Reinforcement ad with spokesperson
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Pepsi TV Ad: “Testimonial”
Spokesperson with humorous appeal
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Pepsi TV Ad: “Jackson Streets”
Competitive Ad
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Diet Pepsi TV Ad: “Uh Huh”
Reinforcement ad with spokesperson
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Sierra Mist TV Ad: “Pachanga”
Pioneering ad with sex appeal
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Mountain Dew TV Ad: “Ram”
Reminder ad with humorous appeal
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Xerox Ad
Comparative Ad
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PETA TV Ad: “Singing Cows”
Advocacy ad with humorous appeal
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Shell TV Ad: “Deadly Distractions”
Advocacy ad with fear appeal
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Golden Plump Chicken TV Ad
Competitive ad featuring humorous appeal
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Hush Puppies TV Ad
Pioneering ad featuring humorous appeal
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Concept Check
1 What are the characteristics of good advertising objectives?
A: (1) A well-defined target audience,
(2) measurable, and (3) over a
specific time period.
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Concept Check
2 What is a potential shortcoming of
using a celebrity spokesperson?
A: The spokesperson’s image may
change to become inconsistent with the company or brand
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DEVELOPING THE ADVERTISING PROGRAM
Selecting the Right Media
Choosing a Medium and a Vehicle within That Medium
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FIGURE 19-2 U.S advertising expenditures,
by category (data in millions of dollars)
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DEVELOPING THE ADVERTISING PROGRAM
Basic Terms
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FIGURE 19-3 The language of the media buyer
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TNN Ad
Print ad for
cable station
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Different Media Alternatives
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Different Media Alternatives (cont)
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FIGURE 19-4 Advantages and disadvantages of major advertising media
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TV storyboards lead to commercials, which communicate with sight, sound, and motion
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Captivate TV
Network
Elevator Ad
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Scheduling the Advertising
DEVELOPING THE ADVERTISING PROGRAM
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Concept Check
1 You see the same ad in Time and
Fortune magazines and on billboards and
TV Is this an example of reach or
frequency?
A: Frequency
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Concept Check
2 Why has the Internet become a
popular advertising medium?
A: Large new audience, offers advantages
over other forms primarily through
combining their advantages, offers
potential for tracking effectiveness.
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Concept Check
3 What factors must be considered when choosing among alternative media?
A: Target audience media habits,
product attributes, and cost.
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Pretesting the Advertising
EXECUTING THE ADVERTISING PROGRAM
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FIGURE 19-5 Alternative structures of advertising agencies used to carry out the advertising program
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Carrying Out the Advertising Program
Full-service agency
Limited-service agencies
In-house agencies
EXECUTING THE ADVERTISING PROGRAM
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Posttesting the Advertising
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Skechers Ad
Starch scores
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Concept Check
1 Explain the difference between pretesting and posttesting advertising copy.
A: Pretesting is done to test alternative copy or to determine
whether the ad communicates the intended message Pretests are done before the ad is placed in the media Posttesting
determines whether the ad accomplished its intended purpose.
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The Importance of Sales Promotion
Consumer-Oriented Sales Promotion
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Consumer-Oriented Sales Promotion (cont)
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FIGURE 19-6 Sales promotion alternatives
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Tom Cruise
Photo
Can you identify
the product?
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Trade-Oriented Sales Promotions
SALES PROMOTION
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Concept Check
1 Which sales promotional tool is most common for new products?
A: Samples
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Concept Check
2 What’s the difference between a
coupon and a deal?
A: A coupon provides a reduced price
for an item based on redemption A deal is a short-term price reduction.
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Concept Check
3 Which trade promotion is used on an ongoing basis?
A: Trade allowance
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Publicity Tools
PUBLIC RELATIONS
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Building Long-Term Relationships
with Promotions
Self-Regulation
INCREASING THE VALUE
OF PROMOTION
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business practices set by advertising agencies, trade
associations, and marketing organizations.
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1 Recommend three websites for your college
or university to advertise on You can use
monthly rate for a full banner ad at each of the websites?
Internet Exercise
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2 Describe the profile of the audience for each
of the websites.
Internet Exercise
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3 Calculate the CPM for each website.
Internet Exercise
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Fallon Worldwide: In the
Creativity Business
Lee Dungarees Ad – Buddy Lee
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VIDEO CASE 19-1
Fallon Worldwide: In the Creativity Business
1 Fallon Worldwide stresses its creativity, as shown
by comments from the Fallon people in the case (a)
In what ways do the Lee Dungarees and BMW
campaigns reflect their creativity? (b) Compare the sources of the ideas in the two campaigns.
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VIDEO CASE 19-1
Fallon Worldwide: In the Creativity Business
2 In the Lee Dungarees and BMW campaigns, how were (a) the target markets and (b) each brand’s
positioning changed from the situation prior to the campaign?
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VIDEO CASE 19-1
Fallon Worldwide: In the Creativity Business
3 The case does not discuss the media used in the
Buddy Lee campaign What media and
communication vehicles should it use initially (a) to reach the target market of 17- to 22-year-olds? (b) to continue to reach them after the first couple of years of the campaign?
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VIDEO CASE 19-1
Fallon Worldwide: In the Creativity Business
4 The case also does not discuss the development of media in BMW’s “The Hire” campaign (a) How
could BMW and Fallon launch the films most
successfully on the Internet? (b) What other media might they use after that launch?
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VIDEO CASE 19-1
Fallon Worldwide: In the Creativity Business
5 How might Fallon and its clients measure the
success of (a) the Lee Dungarees and (b) the BMW campaigns?
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Feedback for X-box
report Tell me what you learned!
details of that mix from the Executive Summary
analysis or impacts marketing mix
30-50 who may be interested in some of the added features of X360 Since the X360 has a large hard drive it is able to record Television and allow users to watch later If this was easy to do like TiVo this segment would be interested in purchasing the X360
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To Do’s for Next Class